The National Pension Commission (PenCom) has launched Pension Boost 1.0, a new initiative under the Contributory Pension Scheme (CPS) designed to enhance monthly payments to retirees nationwide.
The announcement came during PenCom’s second-quarter media briefing held Thursday in Lagos, where Director-General, Ms. Omolola Oloworaran, revealed that total monthly pension disbursements have been increased from N8.3 billion to N11.9 billion, effective June 2025.
“This is the news every retiree has been waiting for,” Oloworaran declared. “Over 233,000 retirees will now see increased monthly payments, dependent on their Retirement Savings Account balances.”
Strong performance of RSA investments
The DG described Pension Boost 1.0 as a milestone achievement driven by the strong performance of RSA investments and supported by critical economic reforms initiated under the administration of President Bola Ahmed Tinubu.
The enhancement, she explained, stems from PenCom’s updated Standard Pension Enhancement Template, a performance-based model that allows pensions to be adjusted upward in line with investment returns.
According to Oloworaran, the model introduces “a transparent, growth-oriented structure that rewards contributors as the economy improves.”
“This is not a token gesture,” she added. “It represents a sustainable improvement and a renewed vision for retirement dignity in Nigeria. And it is just the beginning.”
Progress in clearing pension arrears
In addition to the boost in payouts, PenCom reported significant progress in clearing pension arrears. All retirees who exited the service up to March 2025 have now received both their accrued pension rights and ongoing monthly entitlements.
The DG extended gratitude to President Tinubu for his decisive action in approving a N758 billion bond to offset outstanding pension liabilities, an intervention she described as “a landmark move” that demonstrates the administration’s unwavering commitment to the welfare of Nigerian retirees.
“We’ve seen consistent and stable releases of pension funds since last November,” Oloworaran noted. “The end of pension arrears is very, very near.”
Reaffirming PenCom’s commitment to transparency and accountability, she emphasized the commission’s mission to build an inclusive, resilient pension system that prioritizes the dignity and financial security of workers and retirees alike.
“We are restoring faith in retirement. We are rewarding work with dignity,” she affirmed.
Regulatory compliance
Addressing regulatory compliance, Oloworaran issued a stern warning to defaulting employers and underperforming pension operators.
“To employers with late remittances, your grace period is over. To complacent operators, expect consequences. And to every Nigerian worker, we see you, we hear you, and we will protect your future,” she concluded. “The pension industry must understand: this is a new era. There’s no turning back.”
What You Should Know
- Nigeria’s pension fund assets increased to N23.26 trillion as of February 2025, according to the latest data from the National Pension Commission (PenCom).
- This marks a 1.77% growth compared to N22.86 trillion reported in January 2025.
- The February 2025 data, published in PenCom’s monthly report and obtained by Nairametrics, reflects ongoing stability in Nigeria’s pension industry.
The passion and dedication of the present DG PEN COM Mrs Omolola Oloworaran to help contributory Pensioners is quite obvious and commendable.
However their should be more clarity about the mode of pension enhancement and I hope it will not be like previous enhancement when retirees who had considerable millions in their retirement savings account were paid less than one thousand naira as monthly enhancement.
The modalities for the envisaged payment of the a pension increases since 2007t that President Tinubu has kindly approved should be transparent, unambiguous and easy to understand.
The payment of the pension increases should be made uniform according to grade levels at the date of retirement, please.
There is need for PENCOM to address the retrogressive monthly stipend PFAs pays retirees who under the CPS. It is not fair. We served the same Federal government but our colleagues who retired voluntarily under the pay as you Go pension scheme managed by PTSD enjoys better and higher monthly pension than those of us whose pension contributions is used to grow the economy. There is no increase in our pension in line with wage increment. It’s not fair, . Please kindly redress the anomaly to avoid the clamour for various organisations opting out of the CPS
It seems like this enhancement will not work most PFA are saying that most of the retirees are not eligible so who is eligible then a Hausa proverbs sai rijiya ta bada guga ya hana that’s the well has given out water but the container to coiiect the is not there
When are we getting the increase and palliative, because nobody care about the pensionals. If government send the money to pensionals the pencom and the pention manager will share it, nobody will qeuary them. Please arrange and let the money get to us
Thank God for this, but let the money get to the pensionals please